Merchants and officials of companies specializing in the trade of watches and jewelry reported that the local markets are witnessing, during the current period, strong and increasing growth in demand for purchasing luxury watches in various price categories.
They told Emirates Today, on the sidelines of their participation in the 57th session of the Middle East Watch and Jewelry Exhibition, which ended at the Expo Center Sharjah yesterday, that the UAE markets are characterized by a strong demand for luxury watches, but the recent period has witnessed growth at varying rates in demand for this category, with increased dealer confidence in it, as it is a type of long-term investment and the possibility of reselling it at high values.
They added that the activities of the exhibition revealed the strong demand for luxury watches, whether by collectors or by dealers who view them as an investment that allows them to benefit from them before reselling them. They pointed out that some dealers face a challenge represented by the difficulty of distinguishing between original and counterfeit watches, in light of the great development in imitation techniques, which makes distinguishing between them with the naked eye difficult, and requires the assistance of specialized experts to examine them, which imposes the necessity of purchasing from reliable parties, and obtaining sales invoices and official warranty certificates.
Emirati markets
In detail, the manager of the “Al-Wali Watches and Jewelery Trading” store, Abdullah Al-Muharami, said, “The UAE markets are witnessing a growth in demand for luxury watches during the current period, which was clearly demonstrated at the (Middle East Watches and Jewelry) exhibition, through the desire of many dealers to inquire about different types of watches and complete purchases.”
He added that some dealers are turning to buying luxury watches in a way similar to investing in gold.
Al Mahrami pointed out that the “Rolex” brand tops the list of the most sought-after watches, with prices ranging between 20 and more than 100 thousand dirhams, depending on the model, indicating that there is a demand for other brands, such as “Chopard” and “Cartier.”
He explained that the evaluation of watches does not depend only on the brand or shape, but rather is linked to the model, its rarity in the market, and the size of its limited edition, pointing out that “watches studded with gold and precious stones are at high prices, but some luxury watches that are not made of gold may have a higher value because of their position in the watch market.”
He noted that watches need a period of between two and three years for their owner to be able to sell them at a higher price than their purchase price, explaining that keeping them for longer periods enhances their value as a long-term investment. He stated that some dealers face a challenge represented by the difficulty of distinguishing between original and counterfeit watches, in light of the great development in counterfeiting techniques, which makes distinguishing between them with the naked eye difficult, and requires the assistance of specialized experts to examine them, which imposes the necessity of purchasing from reliable parties, and obtaining sales invoices and official warranty certificates.
Al-Mahrami considered that “buying luxury Swiss watches and keeping them for long periods is a safe investment and saves value similar to gold, but in the long term, and its value is not affected by changes in international markets, which makes dealers who have awareness and experience with the types of these watches agree to buy them as a type of investment that maintains its value and records an increase over time.”
Demand growth
For his part, the region’s sales manager at Jovial, Hassan Awad, said, “The UAE markets are currently witnessing a growth in demand for luxury watches, which has been clearly demonstrated by customers’ interest in inquiring about the most in-demand types, especially Swiss watches.”
He added that a number of dealers buy watches out of passion, hobby and investment, as some men prefer to own luxury watches and use them as an accessory for elegance and adornment, with the possibility of reselling them and achieving financial returns after a period of use, especially in the case of limited editions or watches whose value increases over time.
Awad explained that luxury watches are often inherited, and require a segment of interested and aficionados, compared to gold, which can be purchased of any type or piece, noting that many luxury Swiss brands are the most in demand in the markets.
In turn, the sales official at Al Badia Watches and Jewelry Trading Company, Farid Jamali, said, “There is an increasing trend among many dealers to buy luxury watches, in light of strong demand indicators,” pointing out that the prices of these watches range between 20 and 25 thousand dirhams, and include brands such as “Rolex,” which is the most in demand, along with “Cartier” and “Chopard.”
He added that the rising level of awareness and confidence among consumers, coinciding with the growth in the value of luxury watches globally, contributed to increasing demand for these brands.
He pointed out that most men do not prefer watches made of gold or embedded with it.
He stressed that purchasing from reliable outlets is extremely important, in addition to obtaining sales invoices and warranty certificates, in order to preserve the rights of consumers, especially in light of the high value of luxury watches.
Jamali added, “Luxury watches are a store of value and an investment for those who have awareness and knowledge of these watches and their markets. This investment is not affected by other factors such as gold, and the longer the period of keeping these watches, the higher their value upon resale, especially some limited-edition or rare watches.”
• “Rolex” is the most sought-after watch, with prices ranging between 20 and more than 100 thousand dirhams, depending on the model.
